UPS Oklahoma Location Hit by Mass Layoffs
The Oklahoma City United Parcel Service facility is set to undergo some changes soon, with over 300 employees facing layoffs early next year, as reported by the Oklahoma Department of Labor. According to a Worker Adjustment and Retraining Notification (WARN) issued by UPS, this decision is driven by “changing business realities” in the company’s network.
To provide more details, the 304 employees working at 901 S Portland Ave. will be affected by the upcoming layoffs. A WARN notice is typically given to workers 60 days in advance of plant closures or mass layoffs affecting a significant number of employees, as required by federal law for larger employers.
In response to these changes, UPS spokesperson Brian Hughes mentioned, “As a part of our Network of the Future initiative, we’re modernizing our Oklahoma City UPS facility.” He also assured that while the closure is temporary and partial, it will not impact customer service, and plans are in place to continue servicing the Oklahoma City community.
The layoffs in Oklahoma will impact various positions, including 286 HUB workers, 15 pre-loaders, 1 package clerk, and 2 revenue recovery employees, involving both union and nonunion employees. The notice was issued on Nov. 18, with the layoffs scheduled to occur on Jan. 15 next year.
Although UPS continues its operations with its newly opened branch in Oklahoma City and other existing locations, the company has previously announced plans to shut down approximately 200 facilities across the U.S. But, no closures were mentioned in Oklahoma at that time.
In addition to these changes, UPS is facing legal issues, including a penalty of up to $45 million for improperly valuing a business unit, according to the U.S. Securities and Exchange Commission (SEC). The SEC stated that UPS misrepresented its earnings by not following generally accepted accounting principles (GAAP) in valuing one of its underperforming businesses. It’s unclear if this situation is directly related to the layoffs and potential facility closures in Oklahoma.
As we wait for further updates, the Oklahoma Employment Security Commission continues to collaborate with UPS headquarters to navigate through these transitions.